Destination XL shrinks Q1 loss; will open 40 stores

Canton, Mass. – Destination XL Group Inc. shrunk its net loss to $574,000 in the first quarter of fiscal 2015, compared to $3.5 million the same quarter a year earlier. A shift to operating income from operating loss helped reduce total net loss.



During the current fiscal year, Destination XL intends to open approximately 32 DXL retail and eight DXL outlet stores. It also plans to close approximately 42 Casual Male XL and three Rochester Clothing stores.



Sales grew 8% to $104.4 million from $96.66 million, buoyed by 6.6% same-store sales growth. Destination XL is experiencing higher store traffic, as well as improved conversion of store traffic to top-line sales, both of which contributed to an overall increase in transactions.



“The sales momentum that began in 2014 has continued into the first quarter of 2015,” said president and CEO David Levin. “We opened 13 new DXL stores in the first quarter of the year, and I’m very pleased to report that we outperformed our first-quarter sales plan despite the severe winter weather and difficult economic climate.”



Looking ahead, Destination XL affirmed previously issued guidance for fiscal 2015 of sales in the range of $438 to $443 million and a total same-store sales increase of approximately 5.6%.